(excerpts from Costco Magazine)

The government is cracking down on mortgage modification scams, alleging that preying on desperate borrowers caught up in the housing crisis amounts to criminal action.

As we’ve (costco mag) reported on www.fightback.com, mortgage modification services are almost always scams, and real help is available, at low or no cost, from government-approved housing counselors.

The Federal Trade Commission cites these typical signs of mortgage modification rip-off:  promises to stop foreclosure or modify a loan; guarantees that your home will be saved; claims of a “97 percent success rate”; misleading business names that sound like they’re government sponsored.  The worst scammers can actually force borrowers out of their homes by persuading them to sign over the title or grant power of attorney.

The FBI is currently investigation thousands of mortgage fraud cases, which have increased 400 percent in the last five years.  Homeowners looking for help can locate free housing counselors by calling toll free 1-888-995-hope(4673).